Effective interest method: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Add heading.)
imported>Doug Williamson
m (Add category.)
Line 10: Line 10:
* [[Amortisation]]
* [[Amortisation]]
* [[Effective interest rate]]
* [[Effective interest rate]]
[[Category:Compliance_and_audit]]

Revision as of 13:12, 8 October 2020

Financial reporting.

In relation to a financial asset or financial liability, the allocation of the difference between the initial cost and the final maturity amount using the effective interest rate.

Also known as the amortised cost method.


See also